Your Online Resource for Medicare Insurance: Guiding you along the maze of Medicare

Medicare Advice for Those in Search of Senior Insurance

Medigap insurance has standardized benefits, which means the benefits do not change from one insurance company to the next.  In example, a Medigap Plan F with Mutual of Omaha in Texas has the same coverage as Medigap Plan F with Gerber Life in Mississippi.

Three recommendations and pieces of Medicare advice we give to seniors searching for Medigap insurance are

  1. Understand Medigap insurance rates will go up, they're not locked in price.  Medical inflation usually causes rates to go up each year.  Your birthday or anniversary date is the normal time frame to receive these rate increases, especially in attained age states.  Check with a carrier before enrolling to see if the rates can be adjusted during the middle of the year.  We have seen Medigap insurance rates adjust every 6 months; this is not a good plan.
  2. Makes sure the insurance policy you take out is with a “Secure” rated carrier with A.M. Best.  The two differences between Medigap insurance plans are rates and the insurance company rating.  It is important to have a policy with a financially stable company so you do not have to worry about the insurance company or policy going bust.  In a situation where the insurance company goes into receivership or bankruptcy, your Guaranteed Issue Rights are activated and you can get any policy you choose with NO health questions.
  3. Make sure the insurance agent you are working with has been in the senior market business for at least 5 years.  You need to know your agent will be around after he gets the commission check.  There have been numerous agents since 2006 that have entered the senior insurance business, and many of them have fraudulently enrolled people.  Do not do business with a rookie agent who is not established; this can lead to trouble.